India Intelligence Report
 

   US Cuts Pak Aid

 

 

  • US cuts USD 150 million citing human rights, lack of democracy, and slow progress on terror

  • Pakistan rejects that cut is tied to the denial of access to A.Q. Khan

  • Pakistan projects cut as part of standard budget cuts in US

The United States (US) cut its USD 701 million aid package to Pakistan citing deterioration in human rights, lack of progress on democracy, not doing enough on terror and also speculated for denying access to disgraced nuclear scientist A.Q. Khan. However, Foreign Office spokesperson Tasnim Aslam dismissed the suggestion that the aid cutback was tied to the Khan issue saying "I do not think there is any relationship between the two."

Aslam claimed that the US Administration is committed to “ensure the original amount committed to Pakistan by President Bush is restored.” She explained that in 2005, Pakistan got $701 million in assistance from the U.S., under a $3 billion program announced by US President George Bush in 2003 that is essentially divided between the Economic Support Fund and the Foreign Military Fund. In 2006, Pakistan got a $695 million package and for 2007, the US had promised $738 million and this was now lower by $150 million. She also claimed that the slashed allocation was part of overall budget cuts and seemed to suggest that Pakistan is really not at fault and was essentially sharing the budget cut pain with the US.

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